Israeli SPAC Moringa files to raise $100m for tech merger

Nasdaq Photo: Reuters
Nasdaq Photo: Reuters

According to its prospectus, the company will focus on mid-size Israel-related technology companies.

Israeli special purpose acquisition company (SPAC) Moringa Acquisition Corp. has filed to raise $100 million on Nasdaq for the acquisition of an Israeli tech company. The underwriters are EarlyBirdCapital and Moelis & Co.

Moringa is led by chairman and CEO Ilan Levin, a former senior executive at 3D printing firm Stratasys (Nasdaq: SSYS), and vice chairman Craig Marshak, who previously was managing director and global co-head of the Nomura Technology Investment Growth Fund, alongside CFO Gil Maman, who previously served in senior positions at Stratsys and SimilarWeb;

According to its prospectus, the company will focus on mid-size Israel-related technology companies that have a proven model of commercial success and a track record in generating and growing revenues, though it will also seek to identify companies that are developing disruptive technology with strong market potential.

Moringa will become the third Israeli SPAC to hold an IPO on Wall Street recently after ION Acquisition Corp 1 raised $260 million in October 2020 and ION Acquisition Corp 2 filed to raise $253 million last week, after ION 1 announced it was merging with Israeli media content recommendation company Taboola,, at a company valuation of $2.6 billion.

SPAC IPOs and mergers are a massive trend at the moment in the US and Israeli tech companies are embracing the 'blank check' concept by which investors trust proven businesspeople with hundreds of millions of dollars to find and merge within a company.

Only yesterday, Israeli auto-tech company Otonomo announced that it is merging with Software Acquisition Group Inc. II (Nasdaq: SAII) at a company valuation of $1.4 billion and in December Israeli auto lidar technology company Innoviz announced a merger with SPAC Collective Growth Corp. (Nasdaq: CGRO), also at a company valuation of $1.4 billion.

Published by Globes, Israel business news - en.globes.co.il - on February 2, 2021

© Copyright of Globes Publisher Itonut (1983) Ltd. 2021

Nasdaq Photo: Reuters
Nasdaq Photo: Reuters
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